The importance of financial wellbeing in 2022 with Claro Money

A quick summary:

As financial wellbeing continues to grow in and outside the workplace, people are beginning to realise the importance of financial education for happier, healthier lives. 

Surprisingly, 39% of UK adults do not feel comfortable managing their finances, and nearly nine million people are seriously in debt - so there’s no time like the present to take action!

We’ve partnered with Claro Money, the UK’s first financial coaching app, to get their expert take on the financial wellbeing landscape of 2022. 

Claro Money has made it their mission to empower everyone to live better financial lives. With 1-2-1 support, users receive the education and insights they need on budgeting, saving, and investing, based on their own personal circumstances. 

At Heka, we recognise the growing demand for better financial wellbeing benefits, and so our users have access to Claro Money’s free consultation. Not only this, but we’ve covered financial wellbeing extensively in our Wellness Trends Report 2022.

Below, we’ve asked Claro Money what to expect in financial wellbeing this year, the growth of this trend in the workplace, and for their final thoughts. 

For leaders, HR professionals, and individuals concerned with financial wellbeing, Claro Money’s expert knowledge on the topic is the perfect place to start. 

What does financial wellbeing look like in 2022, especially in the context of the workplace and employee benefits?

“To help support their staff, employers will need to put a greater focus on Financial Wellbeing.

There will be greater emphasis on providing financial education to employees. Increased uncertainty and anxiety around the future has created a need for improved financial wellbeing and a better understanding of the building blocks of finances, like managing a budget, building an emergency fund, and the effects of major events, such as a pandemic, on our finances. 

People are putting in more effort in securing financial foundations so that they can manage any future financial shock.

Luckily, there is now a greater understanding of the connection between our financial wellbeing and overall mental health and workplaces are therefore encouraging more open conversations and transparency around our wider relationship with money. Access to financial education and guidance is often central to financial wellbeing programmes in the workplace.  

Employers are starting to incorporate webinars and workshops, and partner with fintech and financial wellbeing experts to support their employees in feeling educated and empowered around their finances. And with inflation rates predicted to go up in 2022, along with rises in NI, tax and energy prices, this will be paramount for a healthy workforce. Historically, when people are more stressed about their finances their productivity in the workplace decreases. 

Lower income households will be under greater pressure to pay bills and maintain their current lifestyle if salaries rise do not reflect the changes in society. But they are not the only ones, those on higher income are not immune to money-related mental health problems, as Claro Money discovered when working on our mental health project report in 2021.”

Do you think financial wellbeing will continue to grow in 2022? 

“There is significant evidence to suggest that financial wellbeing can impact mental health. There is also research to suggest that mental health can impact an employee's productivity and can lead to absenteeism. 

Businesses are aware of this and we think we will continue to see more of them providing support to their employees to take care of their financial well-being. 

The annual survey of Health and Wellbeing at Work was released by the Chartered Institute of Personnel and Development (CIPD) in April 2021.

  • 68% of private sector businesses say that employee wellbeing is on senior leaders’ agenda. 
  • 47% of businesses in the private sector have a wellbeing strategy, this compares to 37% in 2020, demonstrating its increase in importance.
  • According to the CIPD survey, 83% of businesses in the private sector are increasing their focus on mental health and 73% are looking to take steps to address stress in the workplace. 

Employers are present at key life events of employees such as starting work, changing jobs, buying first homes, becoming parents and retiring. Therefore, employers can be well-placed to offer financial education and support to their staff when they need it most.

The need to incorporate financial wellbeing initiatives into the workplace is for the mutual benefit of employees and employers and can not be ignored.”

Ultimately, what are Claro Money’s thoughts and predictions for financial wellbeing this year?

“Greater transparency in the workplace around pay and wider employee benefits, more open conversations about money and mental health, and a desire to understand how our finances impact our collective future.

The renewed focus on benefits and wellbeing was highlighted in recent research from Group Risk Development (GRiD)i who found that 73% of employers said the pandemic will lead to long-term changes in how they support the health and wellbeing of their staff.”

How Heka can help with employee financial wellbeing in 2022

As you can see from Claro Money’s answers, financial wellbeing will be a huge topic this year. As more people strive to understand how to better manage their personal finances, leaders will need to react to this demand. In the workplace, this should take form in greater transparency and open discussion on topics like savings, clearing debt, budgeting and more. 

By creating openness at work around money, people will feel empowered to speak up and tackle any financial problems they’re having. The statistics Claro Money has highlighted demonstrate the true seriousness of financial wellbeing. 

In a world that’s constantly changing, and with technology giving consumers access to anything and everything at their fingertips, financial wellbeing needs to take centre stage in 2022. Ultimately however, the future looks positive for financial wellbeing, and we’re all for that at Heka!

Our partnership with Claro Money means Heka users can access a free session of Claro Money’s 1-2-1 coaching. Whether it’s buying your first home, saving for retirement, or creating an emergency fund, their financial experts are here to help. 

If you’re not already with Heka, take a look around and get to know more! Our platform currently offers more than a thousand wellbeing experiences across 50 health, fitness and wellbeing categories. 

This includes virtual gong meditation sessions, life coaching, on-site fitness classes, vitamin supplements, meal deliveries and so much more!

On that note, if you’d like to book a demo, one of our wellbeing experts will be more than happy to walk you through what Heka is all about and how exactly your team can benefit from the wide range of wellbeing experiences.

Download our Wellbeing Trends Report 2022

Financial wellbeing isn’t the only trend we forecast this year. In our Wellness Trends Report, we’ve highlighted seven which every leader and HR professional can prepare for in 2022. This includes female health, community building, family planning, mood tracking and more. 

It's still early days in 2022, and we've designed our report for everyone who wants to understand the wellbeing landscape in better depth moving forward. Whether this is to support your team's wellbeing in the workplace, or find out the latest trends for your own gain, download our report today!